Fox Business Network host Charles Payne criticized President Trump’s 50-year mortgage proposal, saying that’s “not the way” to address affordability.
“I do not like this idea,” Payne said on Fox News’s “America’s Newsroom,” when asked about the plan.
He broke down how much a 50-year mortgage would hypothetically save homeowners each month, compared with a 30-year mortgage.
“It depends on how much the house costs,” Payne said, “but if you just took a 4 percent interest rate for a 30-year, it would be $2,300; for a 50-year, it would be $1,900, so you’re saving almost 500 bucks a month in terms of affordability.”
“But, by the time you finish paying this bad boy off, the 30-year, you pay $359,000 versus a 50-year, almost $700,000, right? So, it’s just a gargantuan difference just to make people feel better,” he said. “That’s not the way to do this, right? There are so many other ways.”
Trump floated the idea on Saturday, when he posted a graphic to his Truth Social platform of side-by-side images of himself and former President Franklin D. Roosevelt. The graphic was titled “Great American Presidents,” and above Roosevelt’s photo, “30-Year Mortgage” was written, while “50-Year Mortgage” was displayed above Trump’s image.
Federal Housing Finance Agency Director Bill Pulte responded to Trump’s post in a statement on the social platform X, saying, “Thanks to President Trump, we are indeed working on The 50 year Mortgage – a complete game changer.”
The proposal comes amid renewed focus on affordability, after Democrats swept last week’s elections, largely by focusing on everyday concerns like cost of living.
But Payne was optimistic about Republicans’ chances of campaigning on a strong economic message heading into next year’s midterms.
“I feel so strongly about the momentum that we’ll have going into next year,” Payne said. “The ‘one big, beautiful bill’ kicks in, we’ll have a more accommodative Federal Reserve, I think economic activity is going to build. Companies will be encouraged to build here because they’ll be able to write a lot of that off.”
“I think we’re in the precipice of an economic boom,” which, he said, “would lower mortgage rates that will help the housing market a lot. So this, I would rather see President Trump do some other things with that tariff money.”
Source: The Hill
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